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OGC-87-8 1 (1987-04-13)

handle is hein.gao/gaobabojl0001 and id is 1 raw text is: 1,1 1 % 7 0 o A ,(, Comptroller General AAI\ of the United States Washington, D).C. 20548 B-224882 W 132700 April 13, 1987 To the President of the Senate and the Speaker of the House of Representatives On March 4, 1987, the President submitted to the Congress his fifth special impoundment message for fiscal year 1987. This message reports one new deferral and three revised deferrals. We have reviewed these deferrals; we found that the deferral of $18 million of Social Security Administration budget authority, reported as part of Deferral No. D87-57, is unau- thorized. Enclosed is a copy of the President's listing of the deferrals reported in the fifth message. As you know, the United States Court of Appeals for the District of Columbia has invalidated section 1013 of the Impoundment Control Act (2 U.S.C. s 6840, the section authorizing policy deferrals, because df an unconstitutional legislative veto provision in that section. tlew Haven v. united States, No. 86-5319 (D.C. Cir. 1987), aff'g 634 F. Supp. 1449 (D.D.C. 1986),. Of the amount reported as deferred in Deferral No. D87-57, $18 million is deferred for policy reasons. The message notes that this $18 million is deferred pending congressional action on proposed legislation to transfer that amount to finance federal employee pay raises. Because of the court's action, the Impoundment Control Act provides no authority for this deferral. The President cites as authority for this deferral the bepartment of Labor, Health and Human Services Appropriation Act for fiscal year 1987, rub. L. Nos. 99-500, 99-591, and section 201(g)(1) of the Social Security Act, 42 U.S.C. S 401(g)(1)/. For the reasons discussed in our report on the President's fourth special message, these laws do not authorize the deferral. See GAO/OGC-87-7, April 1, 1987. Consequently, we conclude that the $18 million is being withheld improperly. The court in New Haven v. United States upheld the President's authority under the Anti-Deficiency Acti, as amended by the Impoundment Control Act, to defer budget GAO/OGC-87-8

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